John Wu, the President of Ava labs, believes that securities regulations for cryptocurrencies utilizing “staking” could be coming in the future. This comes on the heels of Securities and Exchange Commission Gary Gensler signaling that the recent Ethereum “Merge” could lead to securities regulation.
 Lydia Beyoud, SEC Chair Gensler Raises Concerns Over ‘Staking’ Model on Ethereum, Bloomberg (Sept. 15, 2022), https://www.bloomberg.com/news/articles/2022-09-15/gensler-raises-concerns-over-staking-model-used-on-ethereum.
 Not all NFTs require staking. Rather, rewards can also be “airdropped” into all the digital wallets that verify ownership of the relevant NFT.
 https://www.cyberkongz.com/ (last visited Sept. 21, 2022).
 CyberKongz were minted on March 5, 2021 for 0.01 ETH. https://luckytrader.com/nft/cyberkongz. 0.01 ETH was approximately $15 on March 5, 2021. https://www.coindesk.com/price/ethereum/.
 Ava Labs’s Wu Says Staking Is a ‘Different Construct’ (Correct), Bloomberg (Sept. 22, 2022), https://www.bloomberglaw.com/bloomberglawnews/crypto/BNA%20000001835c42dce6a7d37d73ed7d0001?bna_news_filter=crypto.
About Faruqi & Faruqi, LLP
Faruqi & Faruqi, LLP focuses on complex civil litigation, including securities, antitrust, wage and hour, personal injury and consumer class actions as well as shareholder derivative and merger and transactional litigation. The firm is headquartered in New York, and maintains offices in California, Georgia and Pennsylvania.
Since its founding in 1995, Faruqi & Faruqi, LLP has served as lead or co-lead counsel in numerous high-profile cases which ultimately provided significant recoveries to investors, direct purchasers, consumers and employees.
To schedule a free consultation with our attorneys and to learn more about your legal rights, call our offices today at (877) 247-4292 or (212) 983-9330.
About Zachary Crane
Zachary Crane's practice is focused on consumer protection litigation. Zack is an associate in the firm's New York office.
Associate at Faruqi & Faruqi, LLP
New York office
Tel: (212) 983-9330
Fax: (212) 983-9331